When it comes to environmental, social and governance (ESG) issues, a robust set of metrics can not only help organisations make an impact on society but also enhance long-term business performance.
Today, ESG issues are even higher priorities for policymakers, boards and executives, accelerated by the geopolitical challenges amplified by the COVID-19 pandemic. Having a robust set of ESG metrics and a model to organize and govern them serves a dual purpose: guiding organizations as they strive to achieve a positive impact on society and the environment, and enhancing long-term business performance and value creation.
Willis Towers Watson believes that the three factors of ESG are interconnected by human capital. For example, few actions taken under the environmental factor can be achieved without human involvement, and sustained success requires considering the social factor of environmental and governance goals (and vice versa). Leading companies have realised that their people are the strongest advocates and enablers of climate strategy, and thus a key force for change.
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